Getting increasingly better loot just means you are swapping your old gear for new gear every 30 minutes. I wouldn't want that in GW. Getting +10-36 damage on your sword, only to see your enemies have +100-200 hp on the next level is in essence still your old sword against the old enemies.
Also, maybe you think Torchlight is nice because it is 'new' game? Guild Wars is getting to it's 5 year milestone, I don't think Torchlight will be that appealing after 5 years. Although luckily TL devs added the support for mods, so it would last a bit longer.
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